Egypt Developer Urges Integrated Real Estate Law, Not Just A Developers' Union
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Ahmed Abouzaid, chairman of Uptown 6 October Group, has called for Egypt's draft real estate law to be broadened from a developers' union bill into an integrated framework covering licensing, off-plan sales, escrow accounts and brokerage.
Eng. Ahmed Abouzaid, Chairman of Uptown 6 October Group, has called for the draft real estate development law currently being discussed as a “Real Estate Developers' Union Law” to be reframed, saying the legislative challenge goes beyond regulating a professional body and requires an integrated framework governing Egypt's real estate market.
Abouzaid said the market has undergone significant changes in recent years, including new project models and financing mechanisms, the expansion of off-plan sales and digital marketing, and growing participation by investors and Egyptians living abroad, requiring the legislative framework to evolve with the market.
He called for an integrated regulatory framework covering the registration and classification of developers according to objective criteria, project and phase approvals before advertising or contracting, disclosure of the legal, financial and technical status of projects, and regulation of off-plan sales and the protection of buyers' funds.
Abouzaid also called for the regulation of project and escrow accounts, a model contractual framework setting out minimum rights and obligations between developers and buyers, rules governing relationships between developers, contractors, consultants and suppliers, and licensing of brokerage, intermediary services, marketing and real estate advertising.
He said escrow accounts are an important tool for protecting buyers' funds but stressed they are only part of the solution, arguing effective protection also requires financial and technical disclosure, developer classification, monitoring of construction progress, oversight of contractor dues and a clear early-warning and intervention mechanism for distressed projects.
Abouzaid welcomed the inclusion of digital transformation tools such as real estate tokenisation, distributed electronic records, blockchain and electronic escrow accounts, but said they must operate within a clear legal framework and should not replace official property registration or independently create enforceable ownership rights. He called for broad legislative and community dialogue to reach a balanced framework that protects all market participants without restricting investment.